North India Statesman
[ad_1]
EPFO RULE Change: There is a big relief news for the employed people. EPFO has made a major change in the rules for withdrawing money from Provident Fund (EPF). Now employees will be able to withdraw up to 90% of the amount from their PF account after 3 years of membership. This change is especially beneficial for those who are planning to buy or build their first house.
A new rule Para 68-BD has been added under the EPF Scheme, 1952. According to this, now EPFO members can withdraw up to 90 percent of their funds for procurement, construction or EMI payment of residential property. Earlier this facility was available only when the member contributed to PF for 5 years. Also, the first withdrawal amount was also limited to a joint contribution of 36 months (employee + employer) and interest amount.
Now under the new rules, members can withdraw 90 percent of their total deposit once on completion of three years of membership. However, this withdrawal can be done only once.
Other important changes that are important to know:
1. urgent withdrawal facility:
From June 2025, EPFO members will get immediate withdrawal of up to ₹ 1 lakh through UPI and ATM. This feature will be very useful in emergency.
2. Increase in self -settlement limit:
EPFO has increased the limit of automatic claim settlement from ₹ 1 lakh to ₹ 5 lakh. With this, big claims can be settled without waiting.
3. Claim process simple:
The number of parameters required for claim verification has been reduced from 27 to 18. This has accelerated the claim process and now 95% of the claims are settled within 3-4 days.
4. Easy withdrawal for education, marriage and medical expenditure
The EPFO has also simplified the evacuation process for major life needs like education, marriage and medical expenditure, so that employees can get financial help at the right time.
What will be the effect of this change?
These new rules of EPFO will give great relief to the salaried class in buying houses and financial crisis. With the facility of withdrawing more money in a short time, people will be able to plan their plans without any bank loan. Also, with the facility of digital payments and fast processing, the provident fund is becoming a more liquid and reliable investment option.
